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Rbs Lost More Money Than Any Other Global Bank


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HOLA441

S lost more money than any other global bank'

Royal Bank of Scotland lost more money than any other bank in the world last year, a leading industry journal has reported.

According to The Banker magazine, RBS's overall losses of £36 billion during 2008 made it the worst performer in a list of 1,000 banks. Second was US giant Citigroup, which lost $53 billion (£31.9bn), followed by Wells Fargo's $47.8 billion (£28.8bn).

RBS was sent plunging to its UK record losses by a mammoth write-down on its acquisition of Dutch rival ABN Amro at the top of the market in 2007, as well as soaring bad debts.

It is now 70 per cent-owned by the taxpayer and in the process of shedding tens of thousands of jobs. Earlier this week, it came under more fire after details emerged of a £9.6 million pay and shares package for new chief executive Stephen Hester.

Last week ex-chief executive Sir Fred Goodwin, who oversaw the bank's ill-fated expansion programme, agreed to give up part of his controversial £703,000 annual pension.

According to the magazine, JPMorgan is the world's strongest bank on the list which is calculated on Tier 1 capital - a key measure of their financial strength. ICBC was the most profitable bank last year with earnings of $21.3 billion, the Banker estimated.

The magazine said global bank profits slumped 85 per cent last year to $115 billion (£69.4bn), down from $781 billion (£471bn), and return on equity plunged to 2.69 per cent from 20 per cent, the magazine estimated.

How many lives have been irreparably scarred by the complete incompetence and greed of this disgraceful bank?

More than I care to know....

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Can they get an ASBO for antisocial lending?

I wish.

Although it wouldn't do much for the broke and homeless, it would lift the spirits of the nation if we could see Fred Goodwin publicly tortured and executed. Might even send a signal to all the other kunts to play safe with our money.

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HOLA444

Reluctant though I am to put the boot into the Scots (because if we had done it, I'm sure they wouldn't have held it against us), but you really have to wonder what that nation of greedy, deluded f**kwits are going to pull out of the hat next.

Were any of them involved in the Apollo moonshot? Is there some sort of scam involving Lunar property about to burst out of the national finances?

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Have we all seen the details of the pay package for Stephen Hester, the guy who's been sent in to take over RBS? This came to light a few days ago, but I don't recall seeing any discussion of it here.

The Scotsman: £37,000 a day: What RBS boss Hester could earn with controversial pay and bonus package.

SCOTLAND has a new record for pay in the public sector today: a package worth up to £12 million over three years for the new chief of the 70 per cent publicly owned Royal Bank of Scotland.

...

While the bonus element will not kick in unless certain criteria – including a recovery in RBS shares to 70p – are met, The Scotsman understands that the move has appalled many RBS staff and small investors.

Indeed, if Mr Hester meets his targets within the first 12 months he will be rewarded with the equivalent of £37,000 for every working day.

In February, Mr Hester told the Treasury committee: "I do think banking pay in some areas of the industry is way too high and needs to come down and I intend us to lead that process."

[continues]

Well, I suppose you do need to offer decent rewards if you want to attract the very best people. :angry:

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Well, I suppose you do need to offer decent rewards if you want to attract the very best people. :angry:

Hmmmmm..... either

[a] These are the very best people we have

or

The whole reasoning behind paying such salaries is rooted in cronyism and unenlightened self-interest

For the sake of the country, I really hope it isn't [a]

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Reluctant though I am to put the boot into the Scots (because if we had done it, I'm sure they wouldn't have held it against us), but you really have to wonder what that nation of greedy, deluded f**kwits are going to pull out of the hat next.

Were any of them involved in the Apollo moonshot? Is there some sort of scam involving Lunar property about to burst out of the national finances?

Interestingly, whilst people were disgusted about Stephen Hester's pay package, a little gem appears to have gone unmentioned, namely, "The Government paid about 50p a share for its 70 per cent stake in RBS, which would translate into an £8 billion profit if the bank hits the 70p-a-share target."

Given that the 70p target shouldn't be too difficult to achieve (over the short/medium term), we taxpayers could actually take profit out of this bail-out. Hardly something we expected.

Granted, Brown will probably sell out at 49p, just to show (once again) how great a leader he is.

http://business.timesonline.co.uk/tol/busi...icle6558365.ece

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I'm still waiting for a convincing explaination of why bankers need to be bribed with huge sums in addition to their basic pay in order to do their f*cking jobs.

How does it work at the Job interview, " Well, hey- thanks for the 3.1 million basic, thats good. But, of course, you do realise that if you want me to do my best work you're going to have come up with a lot more cash..."

At what point did we all take leave of senses and come to feel this was acceptable? :blink:

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@ Gaz tops

What is amazing about the coverage of Hester's pay package is that the Govt didn't buy its shares for 'about 50p' - it was actually 65.5p: http://www.independent.co.uk/news/business/news/government-gets-majority-stake-in-rbs-as-investors-shun-rights-1040429.html

Hitting 70p from that starting point shouldn't be too hard, and if I were a RBS shareholder who had seen his shares at the 600p mark only 2 years ago, I would be incensed by Hester's targets.

Also, why does he get his £1 million basic salary +£2million bonus + incentive for htting targets? WTF is the bonus for if not for hitting targets? Is it just to avoid saying his basic salary is over £3million?

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Reluctant though I am to put the boot into the Scots (because if we had done it, I'm sure they wouldn't have held it against us), but you really have to wonder what that nation of greedy, deluded f**kwits are going to pull out of the hat next.

Were any of them involved in the Apollo moonshot? Is there some sort of scam involving Lunar property about to burst out of the national finances?

so a bunch of english people living in London working for RBS had no part to play?

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Hmmmmm..... either

[a] These are the very best people we have

or

The whole reasoning behind paying such salaries is rooted in cronyism and unenlightened self-interest

For the sake of the country, I really hope it isn't [a]

b

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S lost more money than any other global bank'

How many lives have been irreparably scarred by the complete incompetence and greed of this disgraceful bank?

More than I care to know....

You know you can call it a Scottish bank until you go blue in face, it wont make it anymore true..

Lets be clear - there is no such thing as a "Scottish" bank - only British ones, operating under the regulation of the FSA in London.

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